WaMu (Chase) Trying To Collect After Discharge

[BankruptinNJ]

In August 2010 I filed bankruptcy. It was discharged in November 2010.

I included 2 Chase cards in my BK matrix (I filed pro se). One of those Chase cards was originally a Providian Card, which became Washington Mutual, which became Chase in 2009.

All of my numerous credit cards were in collections with various collection agencies. Some of them had been transferred several times before I declared BK, just to make it more confusing when I filed.

I was sued by Chase before declaring BK. They received a judgment, and they were trying to garnish my wages. I then filed bankruptcy.

On my credit report it says that the judgment was “included in bankruptcy”. On one of the credit reports it says that the judgment was "satisfied". I’m not sure which Chase card the judgment was against (the Chase or the Chase which had been WaMu), because they tack on so many late charges and interest that the debt is nowhere near what I originally owed.

I included all of the original creditors and all of the collection agencies in my creditor’s matrix that I knew about when I filed BK.

Today (September 1, 2011) I received a letter from a brand-new collection agency that I’ve never heard of before. This is what the letter said:

Turning Point Capital
A National Debt Collection Agency
Original Creditor: WASHINGTON MUTUAL BANK
Account Status: Listed for CollectionDear (My Name):

Our client, SECURITY CREDIT SERVICES, has purchased your account and all rights to the debt receivable from WASHINGTON MUTUAL BANK. There is an outstanding balance of $20,341.02. Our client’s records indicate that payment has not been received or processed as of the date of this correspondence, and has therefore been listed for collection.

(Then it tells me to remit the total amount due – over $20,000!)

Sincerely,

Collections Manager

I find it odd that they are trying to collect now, more than a year later! I mean, I know that it is a new collection agency, and they buy these accounts for pennies on the dollar, but why now??

Also, why are they going under the name of WaMu, when everything was under CHASE??? It hasn’t been WaMu for over 2 years.

I know that Chase is suit-happy. I’m assuming the “automatic stay” is over because it was discharged, but I thought they couldn’t pester me anymore after the discharge.

Any help in handling this would be appreciated!

[frogger]

This is probably nothing more than a debt they purchased in which they don't have the bankruptcy information. It happens all of the time and is an easy fix.

You need to contact them and give them your case number, along with the discharge date. The phone works very well for this because it gives you the pleasure of listening to them stumble and mumble.

One time contacting you is not a big deal. Give them the info and it should go away fast.

If it does not however, it's time to lawyer up and enjoy the ride.

Good luck!

[IBroke]

I’m assuming the “automatic stay” is over because it was discharged, but I thought they couldn’t pester me anymore after the discharge.

Any help in handling this would be appreciated!

Don't worry. Although there is no "automatic stay" anymore, your discharge caused the "permanent injunction" which means that they can NEVER collect. Period.

You can call them and provide them with your BK-information - like frogger suggested. That is the fastest way to stop their collection efforts. If you want to build a legal protection in case they are so dumb and continue their collection efforts, send them a certified letter with return receipt, telling them that the debt was discharged on XXXX and that any additional collection-attempt is a willful violation of the permanent injunction and that you reserve the right to have the case re-opened to sue them.

The moment they send you the letter, they were in violation of the BK-law. Sending them a certified letter would make any additional attempt a willful violation where you can go after them.

[justbroke]

I would ALWAYS follow up a call with a certified letter (return receipt). This documents the issue and that you notified them. Any collection activity after that should be met with a Motion to Re-Open and for Entry of Order to Show Cause. They should face the BK Judge for contempt and pay for attempting to collect on the debt.

Additionally, always keep a log of any phone call that you make or receive from creditors post filing and post discharge/close. This will also help you should you need to file for Sanctions. It also lets you know when you last spoke with them and what you discussed. I keep such a log in an Excel spreadsheet.

[BankruptinNJ]

Thank you all for your quick responses. I'm composing a letter right now.

My boyfriend is freaked out by this because on my creditors matrix Washington Mutual was listed as Chase. WaMu was changed to Chase in 2009. Does this matter? He's afraid that it was not discharged because it wasn't listed under Washington Mutual.

[justbroke]

The name does not matter at all. The fact is that they received the notice -- it wasn't returned -- and Chase and WaMu are both what are called "sophisticated" creditors. They subscribe to a service to be notified of all bankruptcies. They run this match usually within 24-48 hours of filing. They had both actual and constructive knowledge of the case.

The fact that Chase/WaMu sold the debt after you filed, is cause for Chase/WaMu to be held in contempt. This happens more than people realize. There are junk debt buyers (JDB) that buy bankruptcy debt (primarily chapter 13 debt).

I would also get a FAX number and fax the letter along with a copy of the discharge to the JDB. This usually stops them in their tracks.

[BankruptinNJ]

The name does not matter at all. The fact is that they received the notice -- it wasn't returned -- and Chase and WaMu are both what are called "sophisticated" creditors. They subscribe to a service to be notified of all bankruptcies. They run this match usually within 24-48 hours of filing. They had both actual and constructive knowledge of the case.

The fact that Chase/WaMu sold the debt after you filed, is cause for Chase/WaMu to be held in contempt. This happens more than people realize. There are junk debt buyers (JDB) that buy bankruptcy debt (primarily chapter 13 debt).

I would also get a FAX number and fax the letter along with a copy of the discharge to the JDB. This usually stops them in their tracks.

That's why I find this whole thing fishy. It is more than a year since I filed. They were the only ones to sue. I included them twice on my matrix. They are also using the old name of the bank -- WaMu -- instead of Chase. It hasn't been WaMu since 2009. Is this to confuse or frighten me? I just don't trust them at all.

As soon as I saw the letter with a window on it (like a bill) with no return address I was highly suspicious. I knew something strange was up even before I opened it.

Thanks a lot for your help!